Option Mining Company

Records, 1925-1951
1 cubic foot

The records of the Option Mining Company are part of the records
of Day Mines, Inc., donated to the University of Idaho by Henry
Day in 1984 and 1985. Initial processing of this manuscript group
was done by Judith Nielsen in December 1987. Processing was completed
by Michael Tarabulski in March 1992. Funds for processing were
provided by the National Historical Publications and Records Commission,
the U.S. Department of Education HEA Title II-C "Strengthening
Research Library Resources" program, the Library Associates
of the University of Idaho and other donors.

COMPANY HISTORY

The Option Mining Company was formed from the Stratton and Stratton
Option Project "C" in 1925. The property consisted of
the Ohio and Pacific lode claims, an area of 33.763 acres, located
in the Placer Center Mining District, Shoshone County, Idaho.
The capitalization was 2,500,000 shares with a par value of 10
cents per share. Present at the first meeting of subscribers on
January 31, 1925, were Lorena K. Stratton, William J. Stratton,
and Merton E. Fisher. Money to finance development and pay the
salaries of the officers was raised through stock assessments,
the first of which was a 1 cent per share assessment levied in
February 1926.

In August 1928, the stockholders petitioned for a special meeting,
none having been held since the first meeting in January 1925.
The meeting was held October 2, and new directors, W.B. Heitfeld,
A.E. Lawson, and P.T. McGuigan, were elected; the office was also
moved to the Day Building. On October 3 Heitfeld informed the
other directors he had found the records of the corporation "pretty
well muddled up" and the salaries previously paid to the
officers were discontinued. An audit of the books revealed irregularities
in both the stock and financial records. On February 28, 1929
the Strattons offered to pay Option $3575.00 in cash, replace
70,660 shares of stock in the treasury, and reconstruct 1500 feet
of track in the Ohio and Pacific lode tunnel in complete settlement
for all errors and irregularities done or perpetrated by W.J.
Stratton while secretary of Option.

In 1926 the company drove a tunnel practically crosscutting the
Ohio and Pacific lodes but found neither ore nor vein. This tunnel
penetrated some distance into the Dora claim of Dayrock and Option
was enjoined from further trespass into Dayrock territory. In
1927 Option leased the Ohio claim to Dayrock which ran a tunnel
from the 200 foot level of its mine across the Ohio lode. Low
grade ore was discovered but it was not profitable to extract
the mineral under lease, nor would it warrant a separate mining
operation by Option.

On July 7, 1930 Dayrock, which owned 2/3 of the Option stock offered
to purchase Option for 36,0OO shares of Dayrock stock or $72,000.
At a stockholders meeting held August 12, 1930 a resolution was
passed by a majority of the minority stockholders accepting the
stock offer. Henry L. Day then voted the Dayrock shares in accordance
with their wishes. On October 15, 1930 the stockholders of the
Option Mining Company voted to dissolve the corporation and a
Decree of Disincorporation was entered in the District Court of
Shoshone County on November 22. The assets of the company were
distributed to stockholders upon the return of stock certificates.

SCOPE AND CONTENT

The records of the Option Mining Company span the years 1925 to
1951, with the bulk of the material covering the years 1925 to
1928. Included are minutes of meetings, financial statements,
correspondence with suppliers and stockholders, annual statements
and reports to state agencies, stock ledgers and journals, cancelled
stock certificates, assessment records, lists of stockholders,
financial ledgers and journals, vouchers, check registers, and
tax returns.

Related materials can be found in the records of the Strattons
Mines Company.

ARRANGEMENT AND DESCRIPTION

The records of the Option Mining Company are divided into five
series.

The first series, Records of the Board of Directors and the Stockholders,
includes bylaws, a minute book for the years 1926-1930, deeds,
correspondence, notices of meetings, lists of stockholders, and
ballots electing directors.

General Correspondence and Related Records, the second series,
contains an alphabetical file which includes correspondence with
stockholders, annual reports and statements, leases, and lists
of stockholders.

The third series is Capital Stock Records. Included are stock
ledgers and journals for the years 1925-1930, a stock audit, lists
of stock purchases by F.M. Rothrock, and assessment records.